Private Bank
Private Bank: Deposits, loans and a manager who knows your name. A private bank takes deposits and lends them out, and lives on the difference and on its…
Deposits, loans and a manager who knows your name. Lend the depositors' money to people who will pay it back.
A private bank takes deposits and lends them out, and lives on the difference and on its judgement of who will repay. The Big Five dominate the high street, so a small bank lives by knowing a trade, a region or a family well. Until 1979 no licence is needed to call yourself a bank, only the Bank of England's good opinion, and a run can finish a bank in a week.
- Setup costs
- £2,700,000 to £55,000,000
- Competition
- Medium
- Category
- Money & Insurance
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